Dodge City times. [volume] (Dodge City, Kan.) 1876-1892, 1887-12-15
THE MESSAGE.
A Brief Eut Pointed Message Sent
to Congress.
Tariff Reduction the Main Question
Treated by the President-A Docu-
mcnt That the People Will
Read " it'll Interest.


message was ready for both houses OF
Congress as soon as business commenced
this morning. The document is unique in
that it deals with only one subject-the
necessity OF a reduction Of taxation. The
President felt that this necessity was SO
urgent that he departed from the ordinary
custom and devoted his whole message to
impress upon Congress the danger OF de-
lay. The address plunges into the ques-
tion ut the TART as follows:
To the CongrssS Of tie Uni,6d Stctes:
You are confronted at the threshold OF your
legislative duties with a condition of the ma
tional finance which inperatively demands i'm
mediate and careful consideration. The amount
of money annually exacted, through the opera
ton OF present laws, from the industries and
necessities Of the people. largely exceeds the
sum necessary to meet the expenses OF the
Government. When we consider that the
theory of our institutions guarantees to every
citizen the full enjoyment Of all the fruits of
his industry and enterprise, with only sucn de-
Guction as may be his share toward the careful
and economical maintenance Of the Govern
nent which protects him, it is plain that the
exacton OF more than this is indefensible ex-
tortion and a culpablc betrayal OK American
fairness and justice.
This wrong inflicted upon those who bear the
burden Of National taxation like other wrongs
Elultii,cs brood Of evil consequences. The
puolic treasury, which should only exist as a
conduit conveying the peoples tribute to its
legitimate objects Of expenditure, becomes a
boarding place Tor money necdlessly withdrawn
from trade and the peoples use, thus Gripping
our National energies, suspending OR country S
development, preventing Investment in pro-
ductive enterprises. threatening financial dis
turbance, and inviting schemes OF public plum
der.
,yto thoe
new; AID IL has more than once OF late been
submitted to the peoples representatives in
the Congress, who alone can apply remedy
And yet the situation still continues, with ag-
gravated incidents, more than ever presaging
financial CONFUSION and widespread disaster
1t will not do TO neglect this situation because
its dangers are not now palpaby imminent and
apparent. They exist none the less certainly,
and await the unforeseen and unexpected occa-
sion when suddenly they will be precipitated
upon us.
On the Goth day of June 1875, the excess Of
revenues over public expenditures, after COM
plying with the annual requirements OF the
Sinking Fund act was ST ,S59, 1854; during the
year ended June 30 1856, such excess amounted
TO $40 5.5;520; and during the year ended June
80, 1884, it reached the sum OF 81, 551, $3.50 The
annual contributions to the sinking fund during
the three years above specified, amounting in
the aggregate to 313S,0iS, $50. "a, and deducted
from the surplus as stated, were made by call
ing in for that purpose outstanding three per
ceut. bonds of the Government.
I-lr.ng the six months prior 10 June 30, 1887,
the surplus revenue had grown large by re-
Ieated denominations and it was feared the
withdrawal OF this great sum OF money needed
By the people would so affect the business of
the country, that the sum OF S19,S4,10O of
such surplus was applied to the payment of the
principal and interest OF the three per cent
bonds still outstanding, and which where then
payable al the option of TIE Government. The
precarious condition of financial affairs among
the people still needing relief, ,;nmediately after
the 3}th day OF June, 1881. the remainder of the
three per cent bonds then outstanding, amount
ing with principal and interest to the sum of
SlS,ST,. %, were called in and applied to the
sinking fund contribution for the current fiscal
year.
Notwithstanding these operations of the
Treasury Department the representations of
distress in business circles not only continued
but increased, and absolute peril seemed at
hand. In these circumstances the contribution
to the sinking fund for the current fiscal
year was at once completed by the ex-
penditure of S.7.6Si,as3.55 in the purchase of
Government bonds not due bearing Az
per cent. interest, the premium paid thereon
averaging about twauty-four per cent. for the
former and eight per cent. for the latter. In ad
uitlOn 10 tliS lne interest accrulng during the
current year upon the outstanding bonded in
debtedness of the GOVERNMENT was to some
extent anticipated, and banks selected as
repositories OF public money were permitted
TO somewhat increase their deposits.
While the expedients thus employed to re-
10 tse TO the people the money lying idle in the
treasury served TO avert immediate danger,
our surplus revenues have continued to accu-
mulatc, the excess for the present year amount
;nn frat do NJ nhar 10 .,SS
70l19 and is estimated to reach the sum of
Sll3,0G0,0o0 on the Both of June next, at which
date it is expected that this sum. added to prior
denominations, will swell the surplus in the
treasury 10 S140000,000
There seems to be no assurance. that. with
such withdrawal from use OF the peoples cir
culating medium our business community may
not in the near future be subjected to the same
distress which Was quite lately produced from
the same cause. And while the functions Of our
National treasury should be few and simple, and
while its best condition would be reached. be-
ieyc, by its entire disconnection with private
business interests, yet, when, by perversion OF
its purposes, it idly holds money uselessly sub
tracted from the channels of trade there seems
TO be reason for the claim that some legitimate
means should be devised by the Government to
restore in an emergency. without waste or ex-
trayagance, such money to its place among the
people. II such an emergency arises there
now exists clear and undOubted executive
power of relief.
Heretofore the redemption of three per cent
bonds, which were payable ut the option OF the
Government, has afforded means for the dis
bursement OF the excess of our revenues: but
these bonds have all been retired, and there are
no bonds outstanding the payment Of which We
have the right TO insist upon. The contribution
10 the sinking fund.- which furnishes the occa
sion for expenditure in the purchase of bonds,
has been already made for the current year. so
that there is no outlet in that direction.
In the present state Of legislation, the only
pretense OF any existing executive power to re-
store, ut this time, any part OF our surplus rev.
cnues 10 the people by its expenditure, consists
in the supposition that the Secretary of the
Treasury may enter the market and purchase
the bonds of the Government not yet due ut
rate of premium 20 be agreed upon. The only
provision oflaw from which such power could
be derived is found in the appropriation bill
passed a number of years ago, and it is subject
TO the suspicion that it was intended as tenn
porary and limited in its application instead
OF comforting continuing discretion and
authority.
No condition ought to exist which would
justify the grant OF power to a single official
upon his Judgment of its necessity. to withhold
from or release to the business of the people, in
an unusual manner, money held in the treas
ury. and thus affect, at his will, the financial
situation of the country; and if it is deemed
wise TO lodge in the Secretary of the Treasury
the authority in the present juncture to pur-
chase bonds, it should be plainly vested and
provided as far as possible with such checks
and limitations as will define this officials right
and discretion, and at the same time relieve
him from undue responsibility
In considering the question of purchasing
bonds as means of restoring to circulation the
surplus money accommodating in the treasury it
should be borne in mind that premiums must be
paid on large part of these bonds held rs in
vcstments which can not be purchased at any
price, and that combinations among holders